The Subscribe and Save feature on Amazon is an often-overlooked opportunity for sellers. This feature enables consumers to easily establish recurring orders, thus eliminating the need for costly brand advertising and reducing the risk of losing loyal customers to competitors. This service is particularly beneficial for merchants who offer consumable products, as it ensures a predictable revenue stream and allows for increased customer retention. Below are some benefits and a video describing the program.
- Eliminates the need for consumers to actively search for products to which they have subscribed, thereby reducing the need for costly advertising and minimizing the potential loss of loyal customers to competing brands.
- Establish a loyal customer base by providing a convenient and predictable revenue stream, while also building brand awareness among highly engaged consumers.
- The Subscribe and Save feature has been observed to significantly boost conversion rates, with products that offer the maximum program discount experiencing on average a 1.8-fold increase in conversion.
- 51% of Amazon Prime members and consumers who identify as “brand loyal” have utilized the Subscribe and Save feature, with 51% and 45% respectively having availed of the service.
- Customers who subscribe to a merchant’s product through the Subscribe and Save feature are more inclined to purchase additional products from the same merchant in the future.
- As an added incentive for customers, Amazon offers an additional 5% discount on subscriptions that are delivered together, as long as the customer receives five or more subscriptions in the same delivery. This additional discount is provided at no cost to the merchant, and is available for a limited time period.